<ARTICLE> 5
<LEGEND>       THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION 
               EXTRACTED FROM THE ARMCO INC. CONDENSED CONSOLIDATED BALANCE
               SHEETS AND CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND 
               ACCUMULATED DEFICIT AND IS QUALIFIED IN ITS ENTIRETY BY 
               REFERENCE TO SUCH FINANCIAL STATEMENTS. 
<CIK>          0000007383
<NAME>         ARMCO INC.
<MULTIPLIER>   1,000
<CURRENCY>     U.S. DOLLAR
       
                           
<PERIOD-START>                JAN-01-1998
<PERIOD-TYPE>                 9-MOS
<FISCAL-YEAR-END>             DEC-31-1998
<PERIOD-END>                  SEP-30-1998
<EXCHANGE-RATE>                         1
<CASH>                            111,100
<SECURITIES>                       12,600
<RECEIVABLES>                     226,400
<ALLOWANCES>                            0
<INVENTORY>                       264,600
<CURRENT-ASSETS>                  626,900
<PP&E>                          1,323,700
<DEPRECIATION>                    700,100
<TOTAL-ASSETS>                  1,830,300
<CURRENT-LIABILITIES>             302,100
<BONDS>                           304,000
<PREFERRED-MANDATORY>                   0
<PREFERRED>                       185,900
<COMMON>                            1,100
<OTHER-SE>                        (29,800)
<TOTAL-LIABILITY-AND-EQUITY>    1,830,300
<SALES>                         1,313,200
<TOTAL-REVENUES>                1,313,200
<CGS>                           1,161,100
<TOTAL-COSTS>                   1,161,100
<OTHER-EXPENSES>                        0
<LOSS-PROVISION>                        0
<INTEREST-EXPENSE>                 21,700
<INCOME-PRETAX>                    87,500
<INCOME-TAX>                        5,400
<INCOME-CONTINUING>                82,100
<DISCONTINUED>                          0
<EXTRAORDINARY>                         0
<CHANGES>                         237,500
<NET-INCOME>                      319,600
<EPS-PRIMARY>                        2.84
<EPS-DILUTED>                        2.49